Metaplanet Launches Bitcoin-Backed $500M Share Buyback After mNAV Dip

• Share buyback program: Metaplanet approved a 75 billion yen repurchase of up to 150 million shares from October 29, 2025, to October 28, 2026.

• Bitcoin collateral: The initiative uses a $500 million credit line backed by BTC holdings for flexible funding.

• mNAV decline: The ratio fell to 0.88 last week, now at 1.03, prompting halted new BTC purchases while targeting 210,000 BTC by 2027.

Discover Metaplanet’s Bitcoin-backed share buyback strategy amid mNAV drop. Explore impacts on BTC treasury firms and market confidence. Stay updated on crypto investments—read now for key insights.

What is Metaplanet’s Bitcoin-backed share buyback program?

Metaplanet’s Bitcoin-backed share buyback program is a strategic initiative by the Tokyo-listed Bitcoin treasury firm to repurchase up to 150 million common shares, valued at 75 billion Japanese yen or about $500 million. Launched after its market-based net asset value fell below 1, the program uses a Bitcoin-collateralized credit facility to fund the repurchases, aiming to maximize Bitcoin yield per share and rebuild investor trust as the stock trades at a discount to its BTC holdings. This move underscores the company’s commitment to leveraging its digital asset reserves for shareholder value enhancement.

How has Metaplanet’s mNAV decline influenced this decision?

Metaplanet’s market-based net asset value (mNAV), which measures the company’s stock value against its Bitcoin holdings, plummeted to a low of 0.88 last week before recovering to 1.03, based on official company data. This decline signaled that the market was undervaluing the firm’s substantial BTC assets, prompting board approval for the buyback to address the disconnect. With 30,823 BTC on its balance sheet—valued at approximately $3.5 billion following a recent acquisition of 5,268 BTC on September 30—Metaplanet has paused new Bitcoin purchases to focus on stabilization. Experts from 10x Research note in their recent analysis that such NAV collapses among Bitcoin treasury firms have erased billions in market capitalization, leaving retail investors at a loss while companies hold firm on actual BTC accumulation. The firm remains dedicated to its ambitious target of 210,000 BTC by 2027, viewing the buyback as a bridge to long-term growth. This structured approach, supported by short, digestible financial metrics, highlights Metaplanet’s proactive risk management in volatile crypto markets.

Metaplanet announced $500 million share buyback. Source: Metaplanet

Similar trends are evident in the broader sector. For instance, ETHZilla, another prominent player, announced a $40 million share buyback on Monday as its stock traded at a significant discount to its net asset value. ETHZilla has already repurchased around 600,000 shares worth $12 million since October 24 under its ongoing $250 million program, demonstrating a coordinated effort among Bitcoin-focused firms to support share prices amid market pressures.

ETHZilla announces share buyback. Source: ETHZilla

The 10x Research report further elaborates that the initial surge in Bitcoin treasury companies—where shares were issued at premiums far exceeding their BTC backing—has reversed sharply. This “full round-trip” has redistributed wealth, with firms securing real Bitcoin while stock valuations adjust downward. Analysts emphasize that these buybacks serve as a corrective mechanism, potentially stabilizing the sector for future expansions.

Frequently Asked Questions

What triggered Metaplanet’s decision for a Bitcoin-backed share buyback in 2025?

The primary trigger was the drop in Metaplanet’s mNAV to 0.88, indicating shares traded below the value of its Bitcoin holdings. This 75 billion yen program, backed by a $500 million BTC-collateralized credit line, seeks to repurchase 13.13% of shares, enhancing BTC yield per share and investor confidence through Tokyo Stock Exchange transactions from October 2025 to 2026.

How does Metaplanet plan to fund its share repurchase program?

Metaplanet will fund the buyback via a flexible Bitcoin-backed credit facility offering up to $500 million in borrowing capacity. This line supports repurchases or additional BTC acquisitions and acts as interim financing for planned preferred share issuances, ensuring liquidity without immediate asset sales.

Key Takeaways

• mNAV Decline Impact: Metaplanet’s ratio fell to 0.88 due to market undervaluation of its 30,823 BTC holdings, now valued at $3.5 billion, leading to a strategic pause in new purchases.
• Sector-Wide Trend: Firms like ETHZilla are also executing buybacks, with $40 million allocated to counter NAV discounts, reflecting a $250 million commitment and $12 million already spent.
• Long-Term Strategy: Despite current challenges, Metaplanet targets 210,000 BTC by 2027, using buybacks to optimize yield and prepare for growth.

Conclusion

Metaplanet’s Bitcoin-backed share buyback program represents a pivotal response to the mNAV decline, reinforcing its position as a leading Bitcoin treasury firm with 30,823 BTC in assets. By leveraging collateralized financing, the initiative not only addresses immediate valuation gaps but also aligns with sector trends seen in ETHZilla’s efforts. As Bitcoin treasury strategies evolve, investors should monitor these developments for opportunities in stable, yield-focused crypto investments—positioning for sustained market recovery ahead.

Additionally, the landscape for Bitcoin treasury firms continues to mature. S&P Global Ratings recently assigned a “B-” credit rating to Michael Saylor’s Strategy, citing its heavy reliance on Bitcoin, limited diversification, and liquidity challenges, yet maintaining a stable outlook. This rating underscores the speculative nature of such entities while highlighting their potential resilience. According to insights from 10x Research, the collapse in NAVs has been a sobering adjustment for the industry, wiping out paper gains but solidifying real BTC accumulations. Metaplanet’s approach, including the credit facility for bridge financing, exemplifies prudent financial engineering in this space.

Expert commentary from financial analysts reinforces these moves. As one 10x Research analyst stated, “Bitcoin treasury companies must navigate the volatility of digital assets with tools like buybacks to protect shareholder value.” This sentiment echoes across the sector, where firms balance aggressive accumulation goals—such as Metaplanet’s 2027 target—with defensive capital management. The program’s execution on the Tokyo Stock Exchange via discretionary agreements ensures transparency and compliance, further bolstering credibility.

In parallel, the broader implications for corporate Bitcoin adoption are significant. With holdings like Metaplanet’s contributing to its status as the fourth-largest corporate BTC holder, these strategies could influence global investment trends. Investors in such firms benefit from direct exposure to Bitcoin’s upside without personal custody risks, provided governance remains robust. As the market stabilizes, expect more treasury companies to adopt similar Bitcoin-backed mechanisms to enhance liquidity and yield.